I'm having a heck of a time getting IB to go ahead with approving my new account! This account happens to be for my revocable trust. The IRS permits the Grantor of the Trust (that's me!) to use my own SS# to claim the income for the Trust (below are 3 links to the IRS site I furnished to IB to give them that info), as long as I'm still alive, anyway, and that I need give only my SS# on behalf of the Trust to any 'payer of income'. I had to do all that because the problem was that IB wanted to see a tax EIN established for the Trust itself. Do you know that despite the clear evident wording and statements from the IRS that I handed over to IB, IB still hasn't OK'd my account? They have to confer and make a decision, of which they'll let me know the outcome. I'm like, 'are you serious?'. They tell me they never heard of this, I tell them it's so common they should've heard of it. Sheesh, what am I gonna do when they ask me for my Trust's driver's license??? http://www.irs.gov/formspubs/page/0,,id=10260,00.html http://www.irs.gov/businesses/small/article/0,,id=106551,00.html http://www.irs.gov/formspubs/page/0,,id=10260,00.html
Please email me your contact info and I will look into it. Dave Battan Interactive Brokers dbattan@interactivebrokers.com
Thank you for your interest in this matter. I got a callback from customer service today, they want me to send in with my documentation the very same links to the IRS pages I posted, and which were the same ones I already emailed them. I don't know why the onus is on me to show IB over and over again what the IRS already permits. Now a new wrinkle: my SS#. The last time I saw my SS card was 30 years ago. IB asked today for me to also send in proof of my SS#, which is fine, and I pointed them to an IB account I already established some time ago under my SS#, but they want new proof for the new account. So they asked me for a copy of a W2. But I'm not employed by another party, so I don't get W2s. So then they told me a copy of my tax return would suffice. But that's not fine with me because I don't wish to unnecessarily reveal my income as that would be on the same page as my SS# on a copy of my 1040, and besides, I could fake a 1040 copy and put any SS# on there if I were dishonest, so what proof does a copy of my Form 1040 really serve? So if I understand IB correctly, they won't accept my SS# that they already have on file for my other account, but they're willing to accept something unofficial that could be faked. !!! OK, so I mention to IB that instead of a 1040 copy, I'll fill out, sign and send them the IRS' "Request For Taxpayer Identification Number and Certification" (Form W9), and they could request my SS# for verification straight from the IRS. Sounds good and upfront, right? But IB said "no". You guys have just got to be kidding.
You can thank the Patriot act for the requirement for identity documents. You should avail yourself to the person in the previous link as he can provide you with the reasoning and logic behind the requirements.
Def, I "availed" myself to Mr. Battan as per his invitation, and he was extremely helpful in the matter, so much so that within a couple of hours of his kind intervention my account was set up. Done. It's as if a problem never existed. Previous to his help this matter had been going on since late August. I haven't read it myself, but, where in the Patriot Act does it tell anyone at IB to ignore what the IRS clearly and unequivocably states is allowable procedure? Be that as it may, I'm happy the matter has been resolved and I can proceed to work with my money, and you can make your commissions on my trades.